Student Loans Setting Millennials Back

Fifty-six percent of Millennials with current or past
student debt are delaying major life events, compared with 43% of older adults,
Bankrate.com found in a survey. The most common milestone they are postponing
is buying a house, closely followed by saving for retirement and buying a car.

While student loan debt has hit Millennials the hardest in terms of delaying
major life events, Bankrate learned that while 28% of 18- to 29-year-olds have ever
carried student loan debt, 41% of 30- to 49-year-olds have done so.

“Student debt is often portrayed as a Millennial issue, but the truth is that
Americans of all ages have put their lives on hold due to student debt,” says
Steve Pounds, an analyst with Bankrate.com. “Delaying major life milestones
such as buying a home or saving for retirement doesn’t only affect the
individual and his or her family. It also has ill effects on the overall
economy.”

More than half of all student loan borrowers said they were not warned about
the financial risks of taking on education loans. This jumps to 66% among
Millennials.

The release of Bankrate.com’s survey comes on the heels of
the ninth annual College Savings Foundation State of College Savings Survey, which found
that one-third of parents are still shouldering student debt, prompting
51% of them to save in a 529 college savings plan or other vehicle to help
their children avoid taking on loans.

Princeton Survey Research Associates International conducted
the survey of 1,000 adults by landlines and cell phones from July 9 to 12 on behalf of
Bankrate.com. The full results of the survey can be seen here.